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This error just plagued me for about 6 hours. I was trying to Setup a dev environment which I had working perfectly, but then I decided that I wanted a fresh OS install on my dev computer. It had Linux on it, and I made my yearly switch to Windows. I tend to bounce back and forth every year or so just to keep on my toes on Windows and Linux both. At any rate, I decided to setup a VM for the dev environments separately, as I had them all on the same nginx/php5-fpm setup prior to this move and I wanted them to all be separated and each on their own VM for simplicity and efficiency.

After the VM was installed and everything seemed to be setup correctly, I set my windows Hosts File to use the VMs new IP for mysite.dev because I usually use the .dev TLD locally for dev sites. I've been doing this since before .dev was a TLD (which actually is irritating because I'm not the only one that uses .dev for dev sites).

To cut this post short because I don't want to bore you with the details of everything I tried, the issue was that my Windows Host file didn't like a redirect that was occurring on my nginx config. I was redirecting mysite.dev to www.mysite.dev, and even though I had mysite.dev in my hosts file, I didn't have www.mysite.dev in there. This used to not be a problem even in Windows, but apparently since the TLD (.dev) came out, this has to be explicit. I could be wrong that this is a recent thing, but if you've tried everything else and keep getting this error, edit your hosts file in windows and add the www.sitename.dev in there as well. It'll probably clear things up for you.